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What Is a Goods Received Note?

Esther Ejim
By
Updated Feb 10, 2024
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A goods received note is a type of document used in sizable businesses as proof the company has received a delivery. This note plays an important role because it contains a list and description of the goods that have been received, including the number and quantity. It simplifies the processing of such goods through the various departments in the company. This especially applies to the accounts or financial department, which has documents to make a comparison of the goods that have been supplied in relation to the order that was placed by the company.

Usually, when big companies place an order for specified items to a manufacturer or supplier, the company will produce a detailed list of the items that were ordered. When the supplier or manufacturer supplies the goods to the company, the only way for the company to ensure that the supplier sent the exact requirements is by comparing the goods received note to the purchasing order that was produced when placing the order. Normally, the two documents have to match in order to assure the company that the goods it received are exactly what it ordered from the supplier.

This process serves the further purpose of allowing both the supplier and the company to identify when all of the goods did not arrive together, where there may shortages, and where the goods might exceed what the company ordered. Such scenarios occur due to factors that include computer glitches, human errors, and, more uncommonly, the attempt by one party to take advantage of the other. For instance, the supplier might try to supply something inferior to the specifications of the company or a quantity of goods that is less than what the company ordered. The goods received note in conjunction with the purchase order helps to clarify the situation by revealing the exact order.

Other ways in which the goods received note can help in the resolution of disputes arising from human error can be seen in a situation where the supplier and company both kept up their part of the bargain, but the delivery person mixed up the orders. For instance, if the delivery person was supposed to deliver 100 boxes of copying paper to Company A and 50 boxes to Company B, a mix-up could result in the delivery of the copying paper to the wrong recipients. When this is the case, the goods received note, in addition to the purchase order, will help clear up the problem.

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Esther Ejim
By Esther Ejim
Esther Ejim, a visionary leader and humanitarian, uses her writing to promote positive change. As the founder and executive director of a charitable organization, she actively encourages the well-being of vulnerable populations through her compelling storytelling. Esther's writing draws from her diverse leadership roles, business experiences, and educational background, helping her to create impactful content.
Discussion Comments
By anon310360 — On Dec 22, 2012

Can any two materials from two different suppliers have the same GRN number?

Esther Ejim
Esther Ejim
Esther Ejim, a visionary leader and humanitarian, uses her writing to promote positive change. As the founder and...
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